Facebook has declined Microsoft’s offer to participate in its DID projects.

Microsoft has recently launched its first decentralized identification tool that is built directly on the bitcoin blockchain. This project is called “Ion,” and is an open source project, which deals with how networks interact with each other. During cross-network interactions, Ion will handle decentralized identifiers aka DIDs, which controls the ability to prove you own the keys to your data.

Crypto veteran and the co-founder of the World Wide Web Consortium (W3C) working group for decentralized identity (DID) solutions, Christopher Allen, said that Microsoft’s move could impact the entire tech industry.

“A lot of enterprise infrastructures use Microsoft products. So if they integrate this into any of their infrastructure products, they’ll have access to DID.”

Yorke Rhodes, a program manager on Microsoft’s blockchain engineering team, reported that they have been working for a year on a key validation and signing software. The software will work on public networks like bitcoin or ethereum.

“There are systems that we have at Microsoft that give you permissions in an enterprise context, a product called Active Directory, that we think need to be able to recognize these DIDs as well.”

As per Coinbase, Facebook has declined Microsoft’s offer to participate in its DID projects and community efforts. According to Facebook, Microsoft is “going in a different direction that’s not as decentralized.”